According to Bayut — MyBayut Blog, Dubai's registration system covers both first- and second-degree mortgages, with a listed DLD fee of 0.25% of the mortgage value.
According to Bayut — MyBayut Blog, a second mortgage is an additional loan secured against a property that already serves as collateral for an existing mortgage. The Dubai Land Department (DLD) offers registration services for both first- and second-degree mortgages. Whether an owner can obtain such financing depends on the type of financing, Central Bank of the UAE requirements and the lender's own criteria. Lenders typically look at the existing mortgage, the property's current value and available equity, the borrower's income, credit profile and other obligations. Consent from the existing mortgage lender may also be required, depending on the finance agreement. Under the general CBUAE mortgage rules, an individual's debt burden ratio (DBR) is generally capped at 50% of gross salary and qualifying regular income, while each lender may set its own limits and terms. Once a bank agrees to the financing, the mortgage generally needs to be registered with DLD — either through the bank's online mortgage system or via a Real Estate Registration Trustees Centre. Documents vary by channel: a trustee-centre application may require a bank letter, three certified copies of the mortgage contract, the owner's UAE ID (or a passport for foreign applicants without residency), and an E-NOC from the developer for properties under a provisional sale. DLD's listed mortgage registration fee is 0.25% of the mortgage value, so a AED 500,000 second mortgage would carry a AED 1,250 fee. Trustee-centre applications may add other charges; DLD lists service-partner fees of AED 4,000 + VAT, or AED 5,000 + VAT for provisional/Oqood cases. Bayut notes that DLD registration records the mortgage interest on the property but does not replace the bank's credit assessment or guarantee approval. Alternatives mentioned include a mortgage top-up and refinancing or remortgaging, subject to lender criteria. This article is for information only and is not legal or financial advice.